China Mobile Limited (NYSE:CHL)

Consolidated Statements of Comprehensive Income

for the year ended December 31

(Expressed in Renminbi (“RMB”))

 

		Note		2014				2013				2012
				Million				Million				Million
Operating revenue (Turnover)		4
Revenue from telecommunications services					581,817				590,811				560,413
Revenue from sales of products and others					59,631				39,366				21,422
					641,448				630,177				581,835
Operating expenses
Leased lines					21,083				18,727				9,909
Interconnection					23,389				25,998				25,140
Depreciation					116,225				104,699				100,848
Personnel		5			36,830				34,376				31,256
Selling expenses					75,781				91,834				80,232
Cost of products sold					74,464				61,363				41,448
Other operating expenses		6			176,342				157,531				140,272
					524,114				494,528				429,105
Profit from operations					117,334				135,649				152,730
Non-operating income, net		7			1,089				910				615
Interest income					16,149				15,289				12,661
Finance costs		8			(228	)			(331	)			(390	)
Share of profit of associates		18			8,248				7,062				5,685
Share of loss of a joint venture					—				—				(1	)
Profit before taxation					142,592				158,579				171,300
Taxation		11(a)			(33,187	)			(36,776	)			(41,919	)
PROFIT FOR THE YEAR					109,405				121,803				129,381
Other comprehensive income/(loss) for the year that may be subsequently reclassified to profit or loss:
Exchange differences on translation of financial statements of overseas entities					(169	)			(172	)			(6	)
Share of other comprehensive income/(loss) of associates					1,224				(767	)			(16	)
TOTAL COMPREHENSIVE INCOME FOR THE YEAR					110,460				120,864				129,359

 

F-5

 

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Table of Contents

Consolidated Statements of Comprehensive Income (Continued)

for the year ended December 31

(Expressed in RMB)

 

		Note		2014				2013				2012
				Million				Million				Million
Profit attributable to:
Equity shareholders of the Company					109,279				121,692				129,274
Non-controlling interests					126				111				107
PROFIT FOR THE YEAR					109,405				121,803				129,381
Total comprehensive income attributable to:
Equity shareholders of the Company					110,334				120,754				129,252
Non-controlling interests					126				110				107
TOTAL COMPREHENSIVE INCOME FOR THE YEAR					110,460				120,864				129,359
Earnings per share – Basic		12(a)		RMB	5.38			RMB	6.05			RMB	6.43
Earnings per share – Diluted		12(b)		RMB	5.35			RMB	5.98			RMB	6.36

HONG KONG, March 3, 2015 /PRNewswire/ -- China Mobile's fourth-generation telecom network has accumulated over 100 million domestic users since its launch in December 2013 and opened 4G international roaming services in 71 countries and regions, Sha Yuejia, Vice President of China Mobile (HKEx:941) (CHL), announced at the Global TD-LTE Initiative (GTI) International Summit during the Mobile World Congress (MWC)  on March 3, 2015, in Barcelona, Spain.

"The development of TD-LTE in the past year exceeded our expectation.  It only took China Mobile one year to build the biggest 4G network in the world," Sha Yuejia said.

By the end of January 2015, China Mobile has built over 700,000 4G base stations, and realized continuous coverage in most cities and counties as well as hotspot coverage in developed villages and towns. The sales of 4G terminals exceeded 100 million and its 4G users topped 100 million as well. Around the globe, China Mobile has launched 4G international roaming services in 71 countries and regions.

Speaking of plans in 2015, Sha noted that China Mobile plans to build 1 million 4G base stations by the end of the year and realize full coverage in the country; step up efforts to expand the coverage of LTE international roaming services and strive for 100% coverage in countries and regions with adequate conditions; increase the terminal sales by 250 million, among which the sales of 4G terminals would reach 200 million; and expand the 4G customer base to 250 million.

In network technologies, China Mobile will accelerate the commercialization of LTE-A, and increase the rate from 100Mbps to 200Mbps, 600Mbps and even 1Gbps somewhere down the road. Meanwhile, the company will promote the development of technologies including 3D-MIMO, network optimization with big data, interference elimination, NFV and SDN.

In terms of terminal related technologies, China Mobile will further support the TDD/FDD integration and enable more terminals and chips that support mainstream modes and frequency bands, VoLTE, RCS and key features of LTE-A.

With regard to services, Sha pointed out that China Mobile has been focusing on the commercialization of Converged Communication and the exploration of information services such as Internet of Vehicles, Mobile Healthcare and Mobile Education.

Off the podium, several innovative products released by China Mobile and its partners grabbed the spotlight of the 2015 MWC:

The product plans for 5-mode processors with a low cost of 50 Euros include Qualcomm 8909, Marvell PXA1908, MTK 6735P, Spreadtrum SC9830A and Leadcore LC1860C.

China Mobile, together with Samsung, HTC, Coolpad, Qualcomm and K-Touch, released six Native terminal models and chip solutions that support the integration of the Converged Communication functions. By updating the network, users are capable of enjoying HD audio and video services, seamlessly integrated multimedia information, conventional messages as well as more social functions without changing their communication habits and the terminal interface.

China Mobile also worked with OnStar of Shanghai General Motors to launch a series of cutting-edge 4G connected car services, which include 4G-enabled onboard high-speed Wi-Fi access, i-Call (HD audio and data synchronization), real-time navigation, remote update, remote diagnosis, vehicle maintenance appointment, etc.

Founded in 2011, GTI now boasts 116 operator members and 97 manufacturer partners. Globally 52 commercial TD-LTE networks have been put into use, and 83 operators are in the phase of construction and deployment. The scale of base stations has exceeded 1 million, commercial terminals over 1200 models, and customer base over 110 million.

Consolidated Statements of Comprehensive Income

for the year ended December 31

(Expressed in Renminbi (“RMB”))

		Note		2013				2012				2011
				Million				Million				Million
Operating revenue (Turnover)		4
Revenue from telecommunications services					590,811				560,413				527,999
Revenue from sales of products and others					39,366				21,422				9,807
					630,177				581,835				537,806
Operating expenses
Leased lines					18,727				9,909				5,188
Interconnection					25,998				25,140				23,533
Depreciation					104,699				100,848				97,113
Personnel		5			34,376				31,256				28,672
Selling expenses					91,834				80,232				78,636
Cost of products sold					61,363				41,448				23,120
Other operating expenses		6			157,531				140,272				127,686
					494,528				429,105				383,948
Profit from operations					135,649				152,730				153,858
Non-operating net income		7			910				615				571
Interest income					15,289				12,661				8,413
Finance costs		8			(331	)			(390	)			(565	)
Share of profit of associates		19			7,062				5,685				4,306
Share of loss of a joint venture		20			—				(1	)			(1	)
Profit before taxation					158,579				171,300				166,582
Taxation		11(a)			(36,776	)			(41,919	)			(40,603	)
PROFIT FOR THE YEAR					121,803				129,381				125,979
Other comprehensive loss for the year that may be subsequently reclassified to profit or loss:
Exchange differences on translation of financial statements of overseas entities					(172	)			(6	)			(311	)
Share of other comprehensive loss of associates					(767	)			(16	)			(229	)
TOTAL COMPREHENSIVE INCOME FOR THE YEAR					120,864				129,359				125,439

HONG KONG, Aug. 16, 2012 /PRNewswire-Asia/ --

• Operating Revenue reached RMB266.5 billion, up 6.6%
• EBITDA of RMB123.1 billion, slightly decreased by 0.9%
• Profit attributable to equity shareholders of RMB62.2 billion, up 1.5%
• Total customers over 683 million, up 10.7%
• Payment of an interim dividend of HK$1.633 per share. The Company's planned dividend payout ratio for the full year of 2012 is 43%

China Mobile Limited (referred to as the "Company" below, and together with its subsidiaries, the "Group") (HKEx: 941) (NYSE: CHL) announced its 2012 interim results today.

The first six months of 2012 brought positive momentum to the Group's development, underpinned by the steady growth in China's economy as well as the rapid development of the information and communications industry. At the same time, the Group faced a number of severe challenges including the increase in mobile penetration, intensified competition, as well as the impact of new technologies and services that are replacing traditional communications services. Against this challenging backdrop, the Company continued to be committed to sustainable development and implemented a strategic transformation. By accelerating the Four-Network Coordination, developing the full services and mobile Internet business, and progressing in reform and innovation, the Group achieved steady growth and maintained its leading market position and profitability.

HONG KONG and BELLEVUE, Wash., Sept. 15, 2011 /PRNewswire-Asia/ -- China Mobile (NYSE: CHL, HKEx: 0941), the world's largest mobile operator in terms of subscribers, and Clearwire Corporation (NASDAQ: CLWR), a leading provider of 4G wireless broadband services in the United States, today announced a collaboration to accelerate the development of TD-LTE devices. Specifically, the two companies agreed to work together to cultivate a robust device ecosystem that supports multi-mode, multi-band devices with minimum component complexity and cost.

Our principal source of liquidity is cash generated from our operations. We have generally funded our capital requirements primarily with cash generated from operations. We believe our available cash and cash generated from future operations will be sufficient to fund the capital expenditures and working capital necessary for the planned network expansion and continued growth of our mobile telecommunications operations through the end of 2011. We may seek to obtain additional sources of financing to fund our network expansion and possible future acquisitions, to the extent necessary.

Full Year 2010 Highlights:

• Operating revenue reached RMB485.2 billion, up 7.3%
• EBITDA of RMB239.4 billion, up 4.5%
• Profit attributable to shareholders of RMB119.6 billion, up 3.9%
• Total customers reached 584 million, up 11.8%
• Proposed final dividend of HK$1.597 per share, together with an interim dividend of HK$1.417 per share already paid, total dividend for 2010 amounting to HK$3.014 per share, representing a dividend payout ratio of 43%

The Board is of the view that the Company's good profitability and strong cash flow generating capability will continue to support the future sustainable development of the Company, while providing shareholders with a favorable return.